Policy paper – Introducing the AI Economics Institute

The AI Economics Institute (AIEI) is a joint HM Treasury–DSIT unit focused on understanding the economic impacts of advanced AI. As AI develops rapidly, the AIEI will strengthen the evidence base on how AI affects productivity, labour markets, firms and the income distribution.

The Institute will build and analyse data on AI adoption, conduct research on how AI affects specific sectors, occupations and groups of workers, develop models to assess economy-wide impacts, and work closely with industry, academia and government to inform policy. It will operate through strong partnerships in the UK and abroad, supporting a more proactive UK approach to shaping AI’s economic impact.